Battle of the App Stores

App developers are seeing Google’s latest olive branch as more about appeasing regulators than app developers.

Google will collect only 15% on payments made to developers through the Google Play Store for the first $1 million in developers’ annual sales (then it goes up to 30%). Read Scott Nover’s piece about the impact these cuts will have on Google’s business.

Firms like Epic Games and Spotify have been front and center of the skirmishes. Executives from the former point out this largesse will largely work in Google’s favor.

“The far majority of developers will get this new 15% rate and thus be less inclined to fight, but the far majority of revenue is in apps with the 30% rate,” Epic Games CEO Tim Sweeney wrote in a tweet. “So Google and Apple can continue to inflate prices and fleece consumers with their app taxes.” 

But, on the face of it, this at least is a good look to the regulators who are circling with antitrust charges. 

Check out the full piece for details on the tensions between app store companies and developers.

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Thanks for reading and have a great week.

Lucinda

Lucinda.southern@adweek.com

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